🎲 Fun & Lifestyle
Mortgage Payoff Calculator
See how much interest you save by making extra mortgage payments.
Enter values to see your result
Frequently asked questions
Does making extra principal payments save money?
Yes, significantly. Even $100/month extra on a 30-year mortgage can save tens of thousands in interest and shave 4–6 years off the loan.
Should I make extra payments or invest the money?
Compare your mortgage rate to expected after-tax investment returns. If mortgage is 7% and investments yield 8% pre-tax (~6% after-tax), extra payments win. At 4% mortgage vs 8% investment, investing wins.
How do I ensure extra goes to principal, not next payment?
Specify "apply to principal" when making the payment — online, this is usually a dropdown. Without this, servicers sometimes apply extra as pre-payment of the next month's interest.
Are there penalties for paying off mortgage early?
Most modern US mortgages have no prepayment penalty. Check your note — some older or non-conforming loans may have a penalty in the first 1–3 years.